Wilson was following
the comments of Bill Gurley, a partner at venture firm
Benchmark, who said, "I think that Silicon Valley as a
whole or that the venture-capital community or startup community
is taking on an excessive amount of risk right now."

Gurley believes startups are burning more cash today than
at any other point since 1999. He thinks too many people are
working at companies that are losing millions of dollars.

For now, startups are having relatively little trouble
raising new money, so they just keep burning through cash. They
know there is more coming in the next round. But at some point
the money is going to dry up. We're going to hit a wall, and then
the companies will have to figure out how to take down their burn
rate, or they will go out of business.

Gurley and Wilson are two of the smartest, most successful,
and most vocal investors in tech companies out there. Wilson has
invested in Twitter, Zynga, Tumblr, and many others. Gurley
invested in OpenTable, Zillow, and Uber, to name a
few.

Wilson says, "We have multiple portfolio companies
burning multiple millions of dollars a month. Thankfully its not
our entire portfolio. But it is more than I’d like and more than
I’m personally comfortable with."

He also says, "I’ve been grumpy for months, possibly
for longer than that, about this ... At some
point you have to build a real business, generate real profits,
sustain the company without the largess of investor’s capital,
and start producing value the old fashioned way. We have a number
of companies in our portfolio that do that. And I love them for
it. I wish we had more."